Alexandria Container & Cargo Handling Co. to launch an IPO late this year

Sunday 08 July 2018 07:16 PM

Mohmed Yusef
Mohmed Yusef

By Sherif Omar

Holding Co. For Maritime & Land Transport seeks to sell an additional stake of Alexandria Container & Cargo Handling Co.'s  shares during this year's fourth quarter upon the finalization of  consultations with all governmental bodies.
HCMLT has formed a committee with Alexandria Port's representatives and CI Capital supervising the initial public offerings as well as Ministry of Business Sector  to pinpoint the ideal timing for executing the IPO without overlooking other potential IPOs, according to informed source.
" The newly-appointed leaders in Ministries of Finance and Public Business Sector will meet to arrange a deal hiring an investment bank to roadshow the IPOs and bring in investors, said the source.
The final pricing of ACCH's share will determine  IPO's revenues which are planned to finance  expansions or repaying debts.
HCMLT has repaid to Ministry of Finance EGP750mln debts constituting a portion of last fiscal year's profits, according to chairman Mohmed Yusef. .
ACCH is included in a list for 23 companies constituting the first phase of the IPO program unveiled by the Egyptian government a few months ago.
During the first nine month of this fiscal year, ACCH netted EGP1.5bn in profits.
Up to 55.79% stake in ACCH belong to  HCMLT, 40% to Alexandria Port General Authority and a minority stake to the Arab United Co. for Freight and Unloading in addition to free-trading shares.
According to previous statements, ACCH's IPO aims at increasing free-trading shares to 20% through the public offering of 15% of its shares, spread as per 8.7% stake owned by HCMLT, 6.3% stake owned by Alexandria Port Authority.